Strike incidence and outcomes: New evidence from the 2019 ECS

Abstract

This paper investigates the relationship between union organization, workplace representation, the quality of industrial relations and strike incidence, as well as the implications of the matters at stake in localized disputes. Strike incidence is found to be higher in establishments where union density is higher, and where workers are covered by mixed-level collective agreements and in flexible employment. Further, distrust is associated with increased strike incidence, and conversely for employee-focused strategies and heightened employee motivation. These results are robust to controls for possible endogeneity of union density and country (cluster) heterogeneity. In terms of outcomes, higher union density, works councils, profit sharing, and a machine/computer-driven work pace are associated with worker wins, while collective bargaining, firm profitability, and more frequent meetings with management are linked with more balanced agreements.